Installment loan and credit line
Very often, a loan should be taken despite loans in order to make up for a credit line. Once the credit facility has been set up, it is available at all times, but should not be used on a continuous basis. If it is not possible to repay the credit line in the short or medium term, it would be advisable to think about a installment loan with which the credit line should be balanced. This loan can be taken either at the house bank or at any other bank.
If you are interested in a loan, it is advisable to compare as many offers as possible and then decide on the lowest price and/ or low-interest offers. The interest on a installment loan is usually much cheaper than the interest on a credit line. This is a key reason why rescheduling is worthwhile. You can also balance your account. An installment loan to compensate for the credit line can often result in you being either cut or canceled the existing credit line. If you have repaid the installment loan and the conditions are still met, nothing speaks against the re-establishment of a dispo credit.
Installment loan and installment loan
In many cases, there is a desire to replace an old installment loan with a new loan. There may be various reasons. Often, the fact that a loan is currently available on more favorable terms and at lower interest rates than the old loan does. It pays to regularly compare the loan offers on the spot and on the Internet. This will give you a good overview of whether your current loan is still low interest or whether it is worthwhile to replace this loan.
If necessary, you can not only replace a loan with a new loan, but also have the option of combining several installment loans or an installment loan and a credit line. This has the advantage that you can significantly improve the overview of your financial obligations and that you only have to pay a single monthly loan installment to a single body.
A loan in spite of current loans can not only be used to replace old loans or to offset the investment. Often, additional financing needs arise during the term, which is to be covered by a loan despite current loans. If the conditions are met, such a loan is no problem at all. The situation is different if the credit rating is considered insufficient for a loan despite current loans. This is especially the case if the income no longer allows the payment of additional loan installments or if there are negative credit bureau entries due to unfulfilled loan commitments or other financial obligations. In all these cases, a loan application must be rejected.
The creditworthiness of the borrower can be significantly improved if he finds a co-applicant or a guarantor who fulfills all the credit requirements demanded by the bank. In particular, the income of the guarantor or the second applicant must be high enough to allow the payment of credit installments without the risk of neglecting one’s own financial obligations.
If a loan is not possible despite running loans in Germany, you can also apply for a loan abroad. Numerous foreign banks also provide their installment loans or car loans for German citizens. These must have a fixed income and may not engage in self-employment or freelance work. The lower age limit for borrowing abroad is 18 years. The upper age limit is set by some banks at 62 years. But there are also banks that do without the setting of an upper age limit. If you are older, you should look for a loan that does not have an upper age limit.
The possible loan amounts vary with a loan despite current loans. As a rule, it is not a problem to obtain a foreign loan with a loan amount in the four-digit euro range. The exact loan amount is decided on a case-by-case basis and from bank to bank. The interest on a loan, despite current loans from abroad, is often slightly higher than the interest that is charged on a loan despite current loans from Germany.
Dealer loans and car loans
Many people find themselves in the position that they have been paying off installment loans for some time now, but now they would like to buy new furniture, a new kitchen or a new car and need additional credit. This raises the question of whether this loan in any case should be taken up with a bank or whether it is better to apply for a loan directly from the dealer. In a merchant loan, the requirements are often not so strictly regulated, so it may be possible to obtain a loan much easier than a bank.
A dealer loan is earmarked and is usually applied for and granted where the consumer goods are purchased. An important example is the car loan. Here, the car purchase and the car financing are regulated under a single roof. The car loan is offered by many car dealerships in different variants. So you can take a classic car loan with even monthly repayment installments, a car loan with a final installment or a three-way financing. All these variants have advantages and disadvantages. For this reason, it can not be said universally which variant should be given preference.
A personal loan can be a good alternative to a loan from a bank or to a loan from a dealer. Of course, this requires that you find one or more people who are already there to grant you a loan and pay it off. Private loans are not only available in your own circle of friends or acquaintances, but can also be established via a credit portal on the Internet.